Toronto Island Marina - Lease Extension

This report seeks authority to extend the Marina Lease by a term of approximately five (5) years, to July 31, 2030. This extension would bring the term of the Marina Lease in-line with the term of the Council directed Management Agreement, which recognizes the integrated relationship of both interests. The extension of the Marina Lease will allow the Marina to secure financing in order to meet the ongoing capital investment required by the Marina under the terms of the Management Agreement between itself and the Island Yacht Club. In 2014, City Council granted permission allowing the Island Yacht Club to enter into the Management Agreement, allowing the Island Yacht Club to meet its ongoing financial obligations to the City while providing an opportunity to increase its membership numbers. The recommendations approved by Council in 2014 included a five (5) year term extension to the existing lease between the City (as Landlord) and the Island Yacht Club (as Tenant) authorizing a new lease termination date of July 31, 2030. Given the urgency in drafting and executing the Management Agreement, authority for an extension to the Marina Lease was omitted, which this report now seeks to address.

Real Estate Management to sign on behalf of the City, a lease extension agreement (the "Agreement") with 1569483 Ontario Incorporated, operating as Toronto Island Marina, substantially on the terms of the existing lease agreement, including re-negotiated base and percentage rent increases, and on such other additional or amended terms and conditions, as may be acceptable to the Executive Director, Corporate Real Estate Management, and in a form satisfactory to the City Solicitor.